Dallas Retail Development Booming With New Projects and Strong Market

BY BRANDI SMITH

The retail commercial real estate development scene in Dallas is heating up with a number of exciting projects underway. From new shopping centers to mixed-use developments, the city is seeing a wave of construction that is set to bring fresh energy and new opportunities to the area.

One of the most anticipated projects is the redevelopment of the Valley View Mall. The mall, located in the heart of Dallas, first opened its doors in 1973. Once a popular shopping destination for residents and visitors, the mall began to empty with the emergence of new shopping centers and the rise of online retail. The property’s last tenant, AMC Theatres, shut down in early 2021, though most of the stores closed between 2015 and 2017.

In March, demolition began on a 300,000-square-foot building that remained on the property, a process that could take months.

Beck Ventures hopes to facilitate a significant renovation of the property, turning it into a mixed-use development called Dallas Midtown that would revitalize the area and bring new life to the community.

"When visitors come to Dallas Midtown, they won't want to leave. All of the pieces fit together like a hand and glove. We have focused on every detail to ensure Dallas Midtown is both a pleasurable and memorable experience," added

Jeffrey Beck, Chairman of Beck Ventures.

The $4 billion development would include a mix of residential, office, and retail spaces. The project will also feature a 20-acre park and a luxury hotel. The goal is to create a walkable community that offers a range of amenities and services.

"Dallas Midtown is located on prime real estate with great potential. We know this development will become the most sought after address for businesses and residents," said Beck Managing Partner Jarrod Beck.

The project isn’t advancing as quickly as Beck would like due to discussions with city leaders, but CEO Scott Beck said things are lining up.

"We want there to be a world class project there," said Scott Beck, Beck’s CEO, told CBS News in March. "We want there to be something we're proud of there and that's why we've been holding onto the property for the past 10 years, even though it's been as difficult as it is."

The developers of Dallas Midtown have emphasized the project's commitment to sustainability. The development will feature green spaces, bike lanes, and electric car charging stations. The project's energy-efficient design is expected to reduce energy consumption by 40 percent.

Another notable development is the Highland Park Village expansion, which will add a new, three-story building to the luxury shopping center. The expansion will feature more than 70,000 square feet of retail space, including a new cinema and several high-end restaurants. The project is scheduled to be completed in 2023.

In addition to these larger projects, there are also a number of smaller-scale developments underway throughout the city. The Bishop Arts District is seeing a wave of new retail and restaurant openings, while the Deep Ellum neighborhood is attracting a number of trendy retailers and art galleries.

The numbers back up Dallas’ retail strength as vacancy rates are dropping and rental rates are on the rise. The city's strong job growth and population growth are driving demand for new retail spaces. According to CBRE, “DFW retail sales per square foot has exceeded the U.S. average in most years since 2006” and CBRE expects that trend to not just continue, but strengthen, through 2024.

The retail commercial real estate development scene in Dallas is vibrant and growing. With a number of exciting projects underway and a strong market for retail spaces, the city is poised to continue its growth and development in the years to come.